2025 Year in Review
2025 has been a critical year for the philanthropic sector. As we head into 2026, we want to look back at some key moments from 2025 and give insight into what issues will be top of mind going into 2026. The Council team is already working to develop new tools and resources to support our sector and keep you informed.
One Big Beautiful Bill Act
In July, the One Big Beautiful Bill Act (P.L.119-21) (OBBBA) was signed into law by President Trump. Included in the final bill were provisions that will affect the charitable sector, such as a permanent deduction of non-itemizers. During consideration of the OBBBA, many philanthropic and charitable leaders used their voice to educate and engage policymakers about the work being done in communities across the country and how the provisions could impact that — both good and bad. Our Council team worked alongside all of you — our members, partners, and other sector leaders — to ensure our advocacy efforts were effective.
In 2026, we must continue lifting our voices in support of our strong charitable sector. And the Council will continue to serve as a voice for philanthropy with policymakers, advocating in support of policies that make us stronger while defending against proposals that threaten our sector’s independence and ability to advance the greater good.
Congressional Philanthropy Caucus
In December, Representatives Blake Moore (R-UT) and Danny Davis (D-IL) relaunched the Congressional Philanthropy Caucus. The caucus serves as an opportunity to better educate and engage members of Congress and their staff about the incredible work philanthropy and our partners are supporting in communities across the country. The Council has always been a key partner to the caucus, and in 2026 we are excited to continue working to ensure Congress has a better understanding of our sector.
Don't forget to ask your member of Congress to join the Philanthropy Caucus.
Congressional Oversight
Committees in both the House and Senate held hearings focused on the tax-exempt sector and sent letters to charitable organizations as part of their oversight responsibilities:
- The House and Senate Judiciary Committees held hearings where witnesses and committee members made statements regarding the need for the Department of Justice (DOJ) to investigate politically progressive and left-leaning nonprofits and Non-Governmental Organizations (NGOs) who receive federal financial assistance funds, claiming alleged support of political violence.
- Committee chairs sent letters to foundations asking questions about their global grantmaking, especially work in China and reported connection to the Chinese Communist Party.
In 2026, we are likely to see additional congressional oversight of the sector. As we learn of new actions that impact the charitable sector, we will keep you informed. More importantly, our team will continue to engage and educate congressional and committee staff to ensure they have a better understanding of the work foundations are supporting in local communities and globally.
Administration and Executive Orders
Starting in January 2025, the Administration issued executive orders, memos, and other directives to advance the president’s agenda, many of which have impacted the sector including:
- January: The president signed an executive order directing the Attorney General to develop a plan to deter diversity, equity, and inclusion (DEI) programs or principles. As part of the plan, agencies were asked to identify organizations for civil compliance investigations.
- September: President Trump signed a presidential memorandum: “Countering Domestic Terrorism and Organized Political Violence” (NSPM-7), which calls for a new law enforcement strategy to address political violence and domestic terrorism. In December, a memo by US Attorney General Pam Bondi detailed how the DOJ will implement NSPM-7, making proposed changes to definitions of domestic terrorism.
- September: The IRS released its Priority Guidance memo, detailing the agency’s priorities such as: Implementing the excise tax on excess compensation for nonprofit executives, finalizing the 2023 proposed regulations regarding donor advised funds, guidance on reporting charitable contributions of trusts and proposing new guidance on the Johnson Amendment.
- October: The Department of Education finalized regulations making changes to the Public Service Loan Forgiveness (PSLF) to align with the executive order, including changing the definition of "qualifying employer" to exclude any nonprofits that have "a substantial illegal purpose." The regulations are effective July 1, 2026.
- December: IRS released guidance and a notice of upcoming regulations on Money Accounts for Growth and Advancement, also referred to as Trump Accounts established under the OBBBA to serve as a tax deferred savings account and type of Individual Retirement Account for children who are U.S. citizens.
In the coming year, we expect the Administration to continue to advance the president’s policy agenda, including implementing key provisions within the One Big Beautiful Bill Act. The Council will continue to work with our advisors to keep you informed about how new actions by the administration could affect our members and the charitable sector.
Happening in the States
News & Resources
Upcoming Events
